Carbon lower overnight
31 Oct 2008
Carbon resumed its downward trend and closed lower overnight, partly helped by rising coal and falling gas prices, which encourages generators to switch to (cleaner) less expensive gas over (dirtier) more expensive coal - theoretically reducing the demand for carbon credits.
The market still looks long carbon, and with expectations that industrial output will decline ,means the selling of excess credits should continue, with prices remaining depressed.
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